The latest pharma news reports that, the rumored Abbott Laboratories deal could be one of the top three largest acquisitions in the history of Russia’s pharmaceutical market.
A source at the Federal Anti-monopoly Service of Russia has revealed that , Abbott Laboratories, has filed an application to acquire the NGO Petrovax Pharm as reported by the updated pharma news bulletin Abbott could become the first U.S. pharmaceutical company to own production facilities in Russia. According to experts, the size of the forthcoming acquisition is certain to place the deal among the top three in the history of the Russian pharmaceutical market.
When questioned about the circumstances surrounding the deal, Irina Gushchina, Abbott’s head of public affairs in Russia, replied that the company could not comment on the rumors. Petrovax Pharm also declined to comment.
The acquisition would be among the three largest deals ever to take place on the Russian pharmaceutical market, alongside the buyout of Natur Produkt International by Canada’s Valeant Pharmaceuticals International for $180 million in spring 2012, and the purchase of Masterlek by Pharmstandard for $146 million in 2009.
David Melik-Guseynov is sure that the acquisition of the Russian company is politically motivated; it is intended to give Abbott a carte blanche in the Russian market, which includes active participation in the additional medicinal drug programs. Yulia Nechaeva agrees that, by securing production facilities and preferential treatment, Abbott aims to become localized in the Russian market, more so than it does to acquire 20 global medical patents. According to DSM, Abbott annually sells $430 million worth of product in a market worth $30 billion, and lags extremely behind its neighbor in the global top ten rankings, France’s Sanofi. In Russia, the company fails to make even the domestic top ten.
As further detailed by the pharma news, the deal would allow Abbott to become the only American company to own production facilities in Russia.
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